Kinder Morgan Gets Q3 Lift from U.S. Natural Gas

Written by Daniel Graeber for IIR News Intelligence (Sugar Land, Texas)

Summary

Kinder Morgan said its adjusted net income for the third quarter was up 22% compared to year-ago levels. The company added that it has a large backlog of projects that could enhance the natural gas sector even further.

LNG the Main Driver

There's a project backlog worth more than $13 billion in just natural gas alone, Kinder Morgan said in announcing it could be expanding its portfolio even further.

Industrial Info Resources data show grassroot pipeline projects worth at least a half-billion dollars that are tied to Kinder Morgan in the U.S. natural gas sector. It's behind an interconnector that would run from Jefferson County in Texas to Cameron Parish in Louisiana, carrying around 1.3 billion cubic feet per day (Bcf/d) of natural gas, data show.

On Wednesday, Kinder Morgan said its performance was lifted in large part by the natural gas sector. Adjusted net income attributable to Kinder Morgan in the third quarter was $729 million, 22% higher than the same period last year.

"Our natural gas business in particular is benefiting from increasing LNG (liquefied natural gas) exports, rising power demand, and industrial expansion and is capitalizing on significant opportunities for investment across our footprint," Executive Chairman Richard Kinder said in a statement.

LNG exports globally are under pressure from the conflict in the Middle East, where major suppliers Qatar and the United Arab Emirates are limited because of war-related damage to their energy infrastructure.

That leaves it to the United States, the world leader in LNG exports, to pick up the slack. The amount of feed gas supporting U.S.-sourced LNG continues to hover near record highs. In its NATGAS Today report for Thursday, Industrial Info found feed gas levels reached 19.45 billion cubic feet, some 1.5% above prior-day levels.

"Natural gas transport volumes were up 3% compared to the third quarter of 2025, primarily due to LNG deliveries on Tennessee Gas Pipeline (TGP) and increased demand for services on our Texas Intrastate system," Kinder Morgan President Dax Sanders said in a statement.

TGP alone is a massive network of interconnected pipe that runs from Texas all the way up the Atlantic Coast, Industrial Info data show.

Deep Bench for Kinder Morgan

Industrial Info is tracking several projects tied to the U.S. natural gas sector for Kinder Morgan. The largest project is the proposed Pascagoula terminal for exports of LNG from Louisiana.

Led by Gulf LNG Energy, the plant would have a design capacity of 5.75 million metric tons per annum if it's completed as planned.

Kinder Morgan also is working on an optimization project at Southern LNG Incorporated's Elba Island LNG export facility in Savannah, Georgia. The company is constructing a condensate plant and installing three new liquid nitrogen vaporizers, which are expected to boost the facility's liquefaction capacity by 400,000 metric tons per year to 2.9 million metric tons.

Kinder Morgan added that it was backing an industry surge with capital expansions. Some $660 million in expansion projects were placed into service during the second quarter, including the Gulf Coast Express pipeline that will send gas from the Permian shale basin to the South Texas coast.

On Thursday, the company added that it had a project backlog that could support another 5 Bcf/d in gas deliveries.

"The expansion project backlog at the end of the third quarter was $14.4 billion, up $4.7 billion from the second quarter of 2026, with $5.4 billion of additions net of $700 million in projects placed in service," Chief Executive Officer Kim Dang said.

By the Numbers

• $14.4 billion in project backlogs for Kinger Morgan
• 3% increase in natural gas transport volumes sequentially

Key Takeaways

• Kinder Morgan's income for the third quarter was lifted by LNG sector.
• The company expects to dust off projects to increase its natural gas portfolio.

About Industrial Info Resources

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).